Amazon, Google, Facebook and WeWork were all active in Seattle's office market in recent months. As these companies absorb entire buildings at a time, the sense of urgency among larger tenants to secure big blocks of space intensifies. Competition for the largest Class A space is brisk, but smaller and mid-sized tenants have more options across most of the market.

Inflation has been contained throughout much of this recovery cycle. Low borrowing costs, cheap oil and gas and subpar wage growth have kept inflation in check. Controlled costs may be a distant memory by 2019. Interest rates are now rising. Labor shortages boosted construction costs quite some time ago; rising prices for materials such as lumber are eroding the margins of developers.

The third quarter saw a number of significant moves from tenants across all industries, with many securing terms now for leases that won’t begin for several years. Occupiers throughout the region recognize, and are benefitting from, favorable conditions that have categorized the market for some time now and into the foreseeable future.

Leasing activity has been running above average since the start of 2017. A recent burst in economic growth, coupled with a willingness among firms to invest in the workplace has kept volume in Midtown elevated. Even so, leasing is barely keeping pace with the delivery of new supply and continued space densification.

Tenants have capitalized on tax credits granted via the Grow NJ incentive program as well as generous concessions from landlords. Steady leasing has made a slight dent in availability in select areas, but companies still have ample options to consider.

Following the trends in other knowledge centers, the appetite for best-in-class new product and converted creative office space in Boston seems to have few bounds. Demand from top employers remains very strong, spurring bidding wars for both talent and space.